In this article:
Overview
Your Margin health screen shows how much you've borrowed, how much you can borrow, and whether your account is in good standing. Review what each term means below.
View your margin health
- Log in to the Wealthsimple app
- Tap your Non-registered margin account
- Tap the Max buying power card
- Review your balances on the Margin health screen
- Log in to your Wealthsimple profile
- Select your Non-registered margin account
- Select the Margin available card
- Review your balances on the Margin health screen
Margin available
Excess equity available from your assets that can be used towards additional purchasing power. Each asset's margin requirement determines how much additional purchasing power you get. If the margin requirement changes, it'll impact your margin available. Keep Margin available above $0 to avoid a margin call.
Margin usage
In the Wealthsimple app, these balances appear under Margin usage. On web, they appear on the right-hand side of the Margin health screen.
CAD margin used
Amount of CAD owed to Wealthsimple as a result of trading on margin. This balance includes interest and other charges to the account that result in a debit balance. This amount accrues interest daily and is charged on the first business day of each month, for the previous month. Learn how interest is calculated and when it's charged: Learn about fees and interest in a margin account.
USD margin used
Amount of USD owed to Wealthsimple as a result of trading on margin. This balance includes interest and other charges to the account that result in a debit balance. This amount accrues interest daily and is charged on the first business day of each month, for the previous month. Learn how interest is calculated and when it's charged: Learn about fees and interest in a margin account.
Total margin used
The combined amount you owe across your CAD and USD margin used balances.
It's shown in CAD, with your USD margin used converted at the current exchange rate.
Max buying power
The most you can buy using margin. This amount changes based on each holding's margin requirement. In the Wealthsimple app, it's shown as Total.
Liquidity
On web, these balances appear below Max buying power, without the Liquidity heading.
Available to withdraw
The amount you can withdraw from your margin account right now. This is your total available margin minus any pending transactions, like unsettled deposits or buy and sell orders. Learn more: Withdrawing on margin.
Portfolio value
The value of your portfolio if you closed all your positions and paid off your margin loan. This is also called your net liquidation value (NLV).
Margin requirement
The minimum amount of equity you must maintain in your margin account. It's typically expressed as a percentage on each security. You can find the margin requirement for each security by searching for the name or symbol and reviewing the Market Details. You can find the margin requirement for your account as a whole on your Margin health screen, under Liquidity.
Cash
CAD available
Available CAD money in the account. If this is a debit balance (less than $0), it shows as $0 and the debit amount appears under CAD margin used.
USD available
Available USD money in the account. If this is a debit balance (less than $0), it shows as $0 and the debit amount appears under USD margin used.
Collateral
You can link up to five eligible accounts to your margin account as collateral to boost your margin buying power. Learn more: Link your accounts to increase your margin buying power.
- Total: The combined value of eligible assets in your linked accounts.
- Manage collateral: Tap to link or unlink accounts. On web, select Manage.
Interest
Shows the interest on the money you've borrowed, for each currency:
- CAD rate and USD rate: Your current margin interest rate. Your rate depends on your client status.
- Accrued this month: Interest that's built up so far this month. It's charged on the first business day of next month.
- Charged last month: Interest charged to your account for last month.
To see every interest charge, tap View all interest charges. On web, select View all. Learn how interest is calculated: Learn about fees and interest in a margin account.
Margin health
Shows whether your margin account is sufficiently collateralized. Margin health states include:
- Good: You have excess equity available from your assets that can be used towards additional purchasing power.
- Margin call: You don't have enough equity in the account and you're in a margin call. A margin call is a demand from your broker to fund your margin account. Margin calls occur if you have purchased securities on margin and the value of your account falls below the margin requirement (maintenance margin).
Concentration limits
A concentration limit is the most Wealthsimple will lend you to purchase a single security. Currently, the concentration limit of a single security is $750,000 CAD/USD.
For example, if the security is denominated in CAD, the maximum loan value for each security is $750,000 CAD. Similarly, if the security is denominated in USD, the maximum loan value for each security is $750,000 USD. To request a concentration limit adjustment, please contact our support team. Requests are made on a case-by-case basis.
Learn more about the Wealthsimple margin account
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